No OTP for Auto-Payments Up to ₹15,000
RBI has updated its e-mandate rules for recurring payments. You no longer need an OTP to approve automatic payments up to ₹15,000 — things like Netflix, SIP, insurance premiums, or EMIs. The limit was ₹5,000 earlier. This makes auto-payments smoother, but you need to stay alert about what's being charged to your account.
The average Indian household now has 6–8 active recurring payments — from streaming apps to SIPs to insurance — adding up to ₹3,000–₹8,000 a month quietly leaving your account without a single OTP ping.
Any recurring payment up to ₹15,000 — your EMI, SIP, insurance premium, or streaming subscription — can now be auto-debited from your account without asking you for an OTP every time.
Key Takeaways
Review all your active e-mandates now — log into your bank app or UPI app and check every recurring debit you've approved. Cancel anything you no longer use, since charges up to ₹15,000 will go through without an OTP reminder.
Watch your pre-debit alerts carefully — RBI mandates that banks must notify you before every automatic deduction. If you're not getting these SMS or email alerts, contact your bank immediately and get them activated.
For new e-mandates (SIPs, loan EMIs, subscriptions), always double-check the amount and frequency before approving. A one-time setup now means money leaves your account automatically — so get the numbers right from day one.
If you've ever missed an SIP instalment because you forgot to approve an OTP, or had your Netflix subscription fail at 11 PM because your phone had no signal — RBI's updated e-mandate framework is designed to fix exactly that.
The Reserve Bank of India has raised the OTP-free threshold for recurring automatic payments from ₹5,000 to ₹15,000 per transaction. This means your bank or payment app can process standing instructions — EMIs, mutual fund SIPs, insurance premiums, utility bills, OTT subscriptions — automatically, without interrupting you for a one-time password each time.
This is genuinely convenient. A ₹12,000 home loan EMI, a ₹8,000 term insurance premium, or a ₹10,000 SIP can now go through smoothly without needing you to be available on your phone at the exact moment of deduction. The updated framework also includes provisions for cross-border recurring payments, which matters if you pay for international subscriptions or send money abroad regularly.
But convenience comes with responsibility. Without OTP prompts acting as a natural checkpoint, it's easier for unwanted or fraudulent mandates to quietly drain your account. RBI's framework does require banks to send you a pre-debit notification — usually 24 hours before a deduction — so make sure these alerts are active on your registered mobile number and email. Treat every pre-debit alert like a mini bank statement. If something looks unfamiliar, you have the right to raise a dispute with your bank before the money leaves.
Use tools like GoCredit to track your loans and EMI commitments in one place, so you always know what's scheduled to leave your account. Pro tip: once a quarter, open your bank app and audit every active e-mandate — cancel the ones you don't recognise or no longer need. That 10-minute habit could save you thousands.
Track Your EMIs & Payments
Open GoCredit App →